Core Insights - Investors are increasingly turning to dividend-yielding stocks during market turbulence and uncertainty, favoring companies with high free cash flows that offer substantial dividend payouts [1] Company Ratings and Performance - **Delek Logistics Partners, LP (NYSE: DKL)**: - Dividend Yield: 9.80% - Mizuho analyst Gabriel Moreen maintained a Neutral rating and raised the price target from $44 to $45 on Aug. 29, 2025, with a 70% accuracy rate [7] - Raymond James analyst Justin Jenkins maintained an Outperform rating and increased the price target from $44 to $46 on Jan. 28, 2025, with a 78% accuracy rate [7] - Recent News: Reported weaker-than-expected quarterly results on Aug. 6 [7] - **Western Midstream Partners, LP (NYSE: WES)**: - Dividend Yield: 9.23% - Mizuho analyst Gabriel Moreen maintained an Outperform rating and raised the price target from $44 to $46 on Aug. 29, 2025, with a 70% accuracy rate [7] - Morgan Stanley analyst Robert Kad maintained an Underweight rating and reduced the price target from $41 to $39 on Aug. 26, 2025, with a 70% accuracy rate [7] - Recent News: Reported upbeat quarterly earnings on Aug. 6 [7] - **Hess Midstream LP (NYSE: HESM)**: - Dividend Yield: 8.09% - Citigroup analyst Spiro Dounis downgraded the stock from Buy to Neutral and cut the price target from $42 to $41 on Sept. 11, 2025, with a 75% accuracy rate [7] - JP Morgan analyst Jeremy Tonet maintained a Neutral rating and increased the price target from $44 to $46 on Aug. 22, 2025, with a 66% accuracy rate [7] - Recent News: Upgraded FY25 gas gathering volumes guidance on Sept. 18 [7]

Core Insights - Investors are increasingly turning to dividend-yielding stocks during market turbulence and uncertainty, favoring companies with high free cash flows that offer substantial dividend payouts [1] Company Ratings and Performance - **Delek Logistics Partners, LP (NYSE: DKL)**: - Dividend Yield: 9.80% - Mizuho analyst Gabriel Moreen maintained a Neutral rating and raised the price target from $44 to $45 on Aug. 29, 2025, with a 70% accuracy rate [7] - Raymond James analyst Justin Jenkins maintained an Outperform rating and increased the price target from $44 to $46 on Jan. 28, 2025, with a 78% accuracy rate [7] - Recent News: Reported weaker-than-expected quarterly results on Aug. 6 [7] - **Western Midstream Partners, LP (NYSE: WES)**: - Dividend Yield: 9.23% - Mizuho analyst Gabriel Moreen maintained an Outperform rating and raised the price target from $44 to $46 on Aug. 29, 2025, with a 70% accuracy rate [7] - Morgan Stanley analyst Robert Kad maintained an Underweight rating and reduced the price target from $41 to $39 on Aug. 26, 2025, with a 70% accuracy rate [7] - Recent News: Reported upbeat quarterly earnings on Aug. 6 [7] - **Hess Midstream LP (NYSE: HESM)**: - Dividend Yield: 8.09% - Citigroup analyst Spiro Dounis downgraded the stock from Buy to Neutral and cut the price target from $42 to $41 on Sept. 11, 2025, with a 75% accuracy rate [7] - JP Morgan analyst Jeremy Tonet maintained a Neutral rating and increased the price target from $44 to $46 on Aug. 22, 2025, with a 66% accuracy rate [7] - Recent News: Upgraded FY25 gas gathering volumes guidance on Sept. 18 [7]

Company Overview - Delek Logistics Partners, L.P. is part of the Oils-Energy group, which consists of 240 companies and is currently ranked 13 in the Zacks Sector Rank [2] - The company has a Zacks Rank of 2 (Buy), indicating a favorable outlook based on earnings estimate revisions [3] Performance Metrics - Year-to-date, Delek Logistics Partners, L.P. has returned approximately 8.9%, outperforming the average gain of 7.4% for Oils-Energy stocks [4] - Over the past three months, the Zacks Consensus Estimate for DKL's full-year earnings has increased by 0.8%, reflecting improved analyst sentiment [4] Industry Context - Delek Logistics Partners, L.P. operates within the Oil and Gas - Production Pipeline - MLB industry, which includes 6 companies and is currently ranked 64 in the Zacks Industry Rank [6] - The average performance of this industry has been a loss of 9.8% year-to-date, indicating that DKL is performing better than its peers in this sector [6] Comparison with Peers - Another notable stock in the Oils-Energy sector is Galp Energia SGPS SA, which has achieved a year-to-date return of 16.6% and has a Zacks Rank of 2 (Buy) [5] - Galp Energia SGPS SA is part of the Oil and Gas - Refining and Marketing industry, which has seen a year-to-date increase of 21.6% and is ranked 68 [7]

Core Insights - Companies with a strong history of dividend payments and increases are attractive to income-focused investors, with Brookfield Infrastructure, Delek Logistics, and VICI Properties recently announcing dividend hikes and offering yields up to nearly 10% [1] Brookfield Infrastructure Partners - Brookfield Infrastructure Partners LP operates in utilities, transport, midstream, and data sectors [2] - The company has increased its dividends for 16 consecutive years, with a recent quarterly payout raised by 6% to $0.43 per share, translating to an annual payout of $1.72 per share [3] - As of June 30, the annual revenue was $21.54 billion, with Q2 2025 revenues reported at $5.43 billion, exceeding consensus estimates, although the loss per share of $0.03 missed expectations [4] Delek Logistics Partners - Delek Logistics Partners LP focuses on logistics and marketing assets for crude oil and refined products in the U.S. [4] - The company has raised its dividends for 12 consecutive years, with the latest quarterly payout increased from $1.11 to $1.115 per share, equating to an annual figure of $4.46 per share [5] - Annual revenue as of June 30 was $920.21 million, with Q2 2025 revenues of $246.35 million and EPS of $0.83, both below expectations [5] VICI Properties - VICI Properties Inc. is a real estate investment trust specializing in casino and entertainment properties [6] - The company has raised its dividends for seven consecutive years, with the latest quarterly payout increased by 4% to $0.45 per share, resulting in an annual figure of $1.80 per share [7] - The current dividend yield for VICI Properties stands at 5.60% [7]

Group 1: AGNC Investment - AGNC Investment offers a high dividend yield of 14.4%, primarily investing in Agency residential mortgage-backed securities (MBS) [3] - The company can achieve a return on equity of 18% to 20% on new investments, which is sufficient to cover its operating expenses and dividend payments [4] - AGNC has maintained its substantial monthly dividend for over five consecutive years, but its high return strategy carries significant risks [5] Group 2: LyondellBasell Industries - LyondellBasell Industries currently has a dividend yield of 10.5% and has increased its payout for 15 consecutive years [6] - The company is implementing strategies to improve cash flow by over $1.1 billion by next year through cost reductions and asset sales [7][8] - LyondellBasell returned over $500 million to investors in the second quarter through dividends and share repurchases, but may need to cut its dividend if market conditions do not improve [9] Group 3: Delek Logistics Partners - Delek Logistics Partners has a dividend yield of 9.8%, supported by stable cash flow from long-term contracts [10] - The company generates enough cash to cover its high-yielding payout by more than 1.3 times, allowing for new investments [11] - Delek has extended its distribution growth streak to 50 consecutive quarters, indicating financial flexibility for future increases [12] Group 4: Overall Market Context - The S&P 500's dividend yield is near a record low of less than 1.2%, making the high yields of AGNC, LyondellBasell, and Delek particularly attractive for income-seeking investors [1][13]

Core Insights - Investors are increasingly turning to dividend-yielding stocks during market turbulence and uncertainty, as these companies typically have high free cash flows and offer substantial dividend payouts [1] Group 1: Analyst Ratings and Price Targets - Delek Logistics Partners, LP (DKL) has a dividend yield of 9.90%. Mizuho analyst Gabriel Moreen maintained a Neutral rating and increased the price target from $44 to $45 on August 29, 2025, with an accuracy rate of 68%. Raymond James analyst Justin Jenkins maintained an Outperform rating and raised the price target from $44 to $46 on January 28, 2025, with an accuracy rate of 77% [7] - Okeanis Eco Tankers Corp. (ECO) has a dividend yield of 9.57%. Jefferies analyst Omar Nokta initiated coverage with a Buy rating and a price target of $29 on July 23, 2025, with an accuracy rate of 72%. B. Riley Securities analyst Liam Burke maintained a Buy rating but lowered the price target from $44 to $40 on January 15, 2025, with an accuracy rate of 71% [7] - Western Midstream Partners, LP (WES) has a dividend yield of 9.49%. Mizuho analyst Gabriel Moreen maintained an Outperform rating and increased the price target from $44 to $46 on August 29, 2025, with an accuracy rate of 68%. Morgan Stanley analyst Robert Kad maintained an Underweight rating and lowered the price target from $41 to $39 on August 26, 2025, with an accuracy rate of 71% [7] Group 2: Recent Earnings Reports - Delek Logistics Partners posted weaker-than-expected quarterly results on August 6, 2025 [7] - Okeanis Eco Tankers reported better-than-expected quarterly earnings on August 12, 2025 [7] - Western Midstream posted upbeat quarterly earnings on August 6, 2025 [7]

Core Insights - During market turbulence, investors often seek dividend-yielding stocks, which typically have high free cash flows and offer substantial dividends [1] Group 1: Analyst Ratings and Price Targets - Delek Logistics Partners, LP (DKL) has a dividend yield of 9.90%. Mizuho analyst Gabriel Moreen maintained a Neutral rating and increased the price target from $44 to $45 on Aug. 29, 2025, with an accuracy rate of 68% [7]. Raymond James analyst Justin Jenkins maintained an Outperform rating and raised the price target from $44 to $46 on Jan. 28, 2025, with an accuracy rate of 77% [7]. Recent news indicated weaker-than-expected quarterly results on Aug. 6 [7] - Okeanis Eco Tankers Corp. (ECO) has a dividend yield of 9.57%. Jefferies analyst Omar Nokta initiated coverage with a Buy rating and a price target of $29 on July 23, 2025, with an accuracy rate of 72% [7]. B. Riley Securities analyst Liam Burke maintained a Buy rating but lowered the price target from $44 to $40 on Jan. 15, 2025, with an accuracy rate of 71% [7]. Recent news showed better-than-expected quarterly earnings on Aug. 12 [7] - Western Midstream Partners, LP (WES) has a dividend yield of 9.49%. Mizuho analyst Gabriel Moreen maintained an Outperform rating and increased the price target from $44 to $46 on Aug. 29, 2025, with an accuracy rate of 68% [7]. Morgan Stanley analyst Robert Kad maintained an Underweight rating and lowered the price target from $41 to $39 on Aug. 26, 2025, with an accuracy rate of 71% [7]. Recent news reported upbeat quarterly earnings on Aug. 6 [7]

Core Viewpoint - Delek Logistics Partners, L.P. has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system emphasizes the correlation between changes in earnings estimates and stock price movements, particularly influenced by institutional investors who adjust their valuations based on these estimates [4]. - Rising earnings estimates for Delek Logistics Partners suggest an improvement in the company's underlying business, likely leading to increased stock prices as investors respond positively to this trend [5]. Zacks Rank System - The Zacks Rank system categorizes stocks into five groups based on earnings estimates, with a strong historical performance, particularly Zacks Rank 1 stocks averaging a +25% annual return since 1988 [7]. - The upgrade of Delek Logistics Partners to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [10]. Earnings Estimate Revisions - For the fiscal year ending December 2025, Delek Logistics Partners is expected to earn $3.93 per share, with a 0.8% increase in the Zacks Consensus Estimate over the past three months, reflecting analysts' positive revisions [8].

Core Viewpoint - Enterprise Products Partners (EPD) and Delek Logistics Partners (DKL) are highlighted as reliable master limited partnerships (MLPs) in the energy sector, with EPD offering a yield of nearly 7% and DKL over 10% [1][2]. Group 1: Enterprise Products Partners (EPD) - EPD has increased its distribution for 27 consecutive years, making it a dependable income investment [1]. - The company operates one of the largest energy midstream platforms in the U.S., with over 50,000 miles of pipelines and various facilities that generate stable earnings [4]. - EPD generates cash to cover its distribution by 1.6 times, allowing for excess free cash flow for growth projects and unit repurchases [5]. - The company has $6 billion in organic growth projects set to enter service in the latter half of the year and plans to invest $2.2 billion to $2.5 billion in growth capital projects next year [6]. - EPD's recent acquisition of a gas gathering business from Occidental Petroleum is expected to enhance cash flow and support distribution increases [7]. - EPD has a strong financial profile with an A credit rating and a low leverage ratio of 3.1 times, providing ample capacity for growth and returns to investors [5]. Group 2: Delek Logistics Partners (DKL) - DKL has delivered its 50th consecutive quarterly distribution increase, showcasing its reliability [2]. - The company has diversified its operations, reducing reliance on Delek US Holdings from 58% of EBITDA in 2023 to an estimated 30% this year, which lowers its risk profile [8]. - DKL is focusing on organic expansion projects rather than relying on drop-down asset acquisitions, enhancing its growth prospects [9]. - The company has made strategic acquisitions, including a $285 million deal for Gravity Water and a $230 million acquisition of H2O Midstream [10]. - DKL ended the second quarter with a leverage ratio of 4.3 times and expects to cover its distribution by over 1.3 times this year, although its financial metrics are weaker than EPD's [11]. Group 3: Investment Comparison - EPD is considered a safer investment compared to DKL due to its larger scale, diversified asset base, and stronger financial profile, making it the better choice for passive income seekers [12].

Financial Performance - Total net revenues for Q2 2025 were $246.35 million, a decrease of 6.8% from $264.63 million in Q2 2024[15] - Operating income for Q2 2025 was $52.44 million, down 23.4% from $68.46 million in Q2 2024[15] - The company reported a basic net income per unit of $0.83 for Q2 2025, compared to $0.87 in Q2 2024[15] - Net income for the three months ended June 30, 2025, was $44.57 million, compared to $41.06 million in 2024, indicating an increase of 12.1%[77] - Total revenue for the three months ended June 30, 2025, was $246.350 million, down from $264.628 million in the same period of 2024[104] - Net income for the six months ended June 30, 2025, was $83.61 million, up 13.0% from $73.71 million in the same period of 2024[15] - Total revenue for the six months ended June 30, 2025, was $496.280 million, a slight decrease from $516.703 million in the same period of 2024, representing a 3.3% decline[106] Assets and Liabilities - Total current assets increased to $409.85 million as of June 30, 2025, compared to $145.89 million at the end of 2024[13] - Long-term debt rose to $2.21 billion as of June 30, 2025, from $1.88 billion at the end of 2024, reflecting a significant increase in leverage[13] - Total assets reached $2.75 billion as of June 30, 2025, up from $2.04 billion at the end of 2024[13] - The company’s total equity was $31.99 million as of June 30, 2025, down from $35.53 million at the end of 2024[13] - As of June 30, 2025, total long-term debt was $2.23 billion, an increase from $1.89 billion as of December 31, 2024[78] Cash Flow and Investments - Cash flows from operating activities provided $139.0 million, up from $131.5 million in the same period last year[19] - The company reported a net cash used in investing activities of $347.7 million, compared to $15.4 million in the prior year[19] - Cash paid for interest during the period was $81.1 million, significantly higher than $49.6 million in 2024[20] - Cash and cash equivalents decreased to $1.44 million as of June 30, 2025, from $5.38 million at the end of 2024[13] Acquisitions - The Gravity Acquisition was completed for a preliminary purchase price of $300.8 million, including $209.3 million in cash and 2,175,209 common units[30] - Revenue from the Gravity Acquisition operations was $46.8 million for the period from January 2, 2025, through June 30, 2025[32] - The H2O Midstream Acquisition was completed for a total consideration of $229.7 million, consisting of $159.7 million in cash and $70.0 million in preferred units[44] - The Partnership acquired 100% of Gravity Water Intermediate Holdings LLC for water disposal and recycling operations in the Permian Basin and Bakken on January 2, 2025[123] Segment Performance - Segment EBITDA for the three months ended June 30, 2025, was $100.449 million, a decrease from $109.519 million for the same period in 2024[104] - The gathering and processing segment saw a $19.4 million increase in segment EBITDA, largely due to the H2O Midstream and Gravity acquisitions[137] - Net revenues for the gathering and processing segment increased by $25.1 million, or 27.1%, in Q2 2025 and by $47.8 million, or 25.4%, YTD 2025[193][195] - Net revenues for the wholesale marketing and terminalling segment decreased by $31.0 million, or 22.9%, in Q2 2025 and by $43.6 million, or 17.1%, YTD 2025[202][203] Costs and Expenses - The company reported a total cost of materials and other for the six months ended June 30, 2025, of $248.358 million, compared to $261.697 million in the same period of 2024, a decrease of 5.1%[106] - Operating expenses increased by $8.4 million, or 28.5%, in Q2 2025 compared to Q2 2024, driven by higher costs associated with acquisitions[180] - General and administrative expenses increased by $2.9 million, or 48.7%, in Q2 2025 compared to Q2 2024, primarily due to transaction costs related to acquisitions[181] - Cost of materials and other for the gathering and processing segment increased by $2.1 million, or 10.6%, in Q2 2025 and by $8.6 million, or 22.8%, YTD 2025[195][196] Distributions and Shareholder Returns - The company declared quarterly cash distributions totaling $113.05 million for the year ending June 30, 2025[72] - The company declared a quarterly cash distribution of $1.115 per unit on July 29, 2025, payable on August 14, 2025[119] - Total cash distributions per limited partner unit increased from $1.055 in Q4 2023 to $1.115 in Q2 2025, with total cash distribution reaching $59,612,000[95] Strategic Objectives and Outlook - The company aims to increase third-party revenue streams and expand its footprint in the Midland and Bakken basins through the acquisitions of Gravity and H2O Midstream[55] - The Partnership's long-term strategic objectives focus on providing competitive yields and growing distributions while maintaining healthy coverage and leverage ratios[157] - The economic outlook remains uncertain due to geopolitical instability and commodity market volatility, but the Partnership is positioned to manage through potential downturns[138] - The Partnership is focused on reducing its leverage ratio to enhance financial flexibility and pursue growth opportunities[160]